Celotex Corporation v. Bennie Edwards et Ux. (514 U.S. 300)
U.S. Supreme Court · decided April 19, 1995 · Supreme Court Database (Spaeth)
- Citation
- 514 U.S. 300 · 115 S. Ct. 1493
- Decided
- April 19, 1995
- Term
- October Term 1994
- Vote
- 7–2
- Majority author
- Justice Rehnquist
- Issue area
- Judicial Power
- Disposition
- Reversed
- Outcome
- Petitioning party won
- Ideological direction
- Conservative
Opinion excerpt
Chief Justice Rehnquist delivered the opinion of the Court. The United States Court of Appeals for the Fifth Circuit held that respondents should be allowed to execute against petitioner’s surety on a supersedeas bond posted by petitioner where the judgment which occasioned the bond had become final. It so held even though the United States Bankruptcy Court for the Middle District of Florida previously had issued an injunction prohibiting respondents from executing on the bond without the Bankruptcy Court’s permission. We hold that respondents were obligated to obey the injunction issued by the Bankruptcy Court. I In 1987 respondents Bennie and Joann Edwards filed suit in the United States District Court for the Northern District of Texas against petitioner Celotex Corporation (and others) alleging asbestos-related injuries. In April 1989 the District Court entered a $281,025.80 judgment in favor of respondents and against Celotex. To stay execution of the judgment pending appeal, Celotex posted a supersedeas bond in the amount of $294,987.88, with Northbrook Property and Casualty Insurance Company serving as surety on the bond. As collateral for the bond, Celotex allowed Northbrook to retain money owed to Celotex under a settlement agreement resolving insurance coverage disputes between Northbrook and Celotex. The United States Court of Appeals for the Fifth Circuit…
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